Telegram from James Webb to President Harry S. Truman, with Attached Telegram from Secretary of State Dean Acheson

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econo SECURITY INFORMATION U.S.S. WILLIAMSBURG U. S. Naval Gun Factory WH 838 WASHINGTON 25, D. C. WHITE 4Ø 28172ØZ 28 NOVEMBER 1951 FROM: ACTING SECRETARY OF STATE, HONORABLE JAMES E. WEBB TO : THE PRESIDENT OF THE UNITED STATES MEMORANDUM FOR THE PRESIDENT SUBJECT: ECONOMIC ASSISTANCE FOR FRANCE. IN A MEMORANDUM OF NOVEMBER 19, 1951, I TRANSMITTED TO YOU A REPORT FROM SECRETARY ACHESON REGARDING FRENCH REQUIREMENTS FOR ECONOMIC ASSISTANCE. A FURTHER REPORT IS CONTAINED IN THE ATTACHED TELEGRAM 3049 FROM PARIS OF NOVEMBER 21. THIS TELEGRAM REFLECTS THE VIEW OF OUR NEGOTIATORS IN PARIS THAT NOT MORE THAN $130 MILLION WOULD HAVE TO BE TRANSFERRED FROM MILITARY END-ITEM AID FOR USE AS ECONOMIC ASSISTANCE, RATHER THAN THE ESTIMATED NEED TO TRANSFER $15Ø TO $300 MILLION CONTAINED IN THE LAST PARAGRAPH OF MY MEMORANDUM. SIGNED JAMES E. WEBB ACTING SECRETARY Re: ENCLOSURE: DECLASSIFIED PARIS TELEGRAM 3049 E.O. 12065, Soc. 3-402 NOVEMBER 21, 1951 FROM: PARIS State Dept. Guidolinos, March 6, 1982 TO : SECRETARY OF STATE By. HL NLT, Dale 3-16-ty FOR WEBB FROM ACHESON AND HARRIMAN. REFERRING DEPTEL 2999, COMMITMENT GIVEN FRENCH AT MTG PLEVEN ON FRIDAY MORNING (EMBTEL 2967) WAS ASSURANCE THAT $600 MILLION (EXCLUDING POSSIBLE $50. MILLION EXIM BANK COTTON LOAN) OF EXPENDITURES WOULD BE ACHIEVED IN FRANCE BEFORE JUNE 30, 1952, THROUGH ONE MEANS OR ANOTHER, PROVIDED FRENCH DID NÉCESSARY THINGS WITH RESPECT TO BASES AND OTHER FACILITIES, AND ON ASSUMPTION FRENCH COME UP WITH ADEQUATE CONTRIBUTION TO DEFENSE OF WEST EUR WITHIN THE OVERALL NATO FRAMEWORK BEING DEVELOPED BY TCC AND CONTINUE INDOCHINA EFFORT. NO (RPT NO) INDICATION GIVEN RE SPECIFIC BREAKDOWN OF FIGURE, BUT UNDERSTANDING ON US SIDE WAS THAT IT MIGHT POSSIBLY BE $300 MILLION ECON AID AND $300 MILLION US MILITARY EXPENDITURES. OUR VIEW WAS THAT TO EXTENT MILITARY EXPENDITURES SHLD EXCEED $300 MILLION, WE CLD REDUCE ECON AID FIGURE. IT WAS NOT (RPT NOT) CONTEMPLATED BY US THAT ECON AID WLD EXCEED $300 MILLION. CONSEQUENTLY DO NOT (RPT NOT) ENVISAGE ASKING FOR TRANSFER TO FRANCE UNDER SECTION 101 (B) OF SEORE